X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

[IMGCAP(1)]LOS ANGELES-New owners have taken title to two apartment complexes in Koreatown and Van Nuys in two separate deals totaling nearly $15 million. The properties that traded were a 72-unit landmark complex that was built in 1929 and a 70-unit deal that had to surmount a financing hurdle in the middle of the transaction.

The 72-unit complex is called the Val D’Amour Apartments and is located at 854 S. Oxford Ave. in Koreatown. Brent Sprenkle, a senior vice president in the West Los Angeles office of Sperry Van Ness Real Estate Services, tells GlobeSt.com that the sales price of $7.52 million represented a record price per unit for a property of its type: 1920′s construction, brick structure, no parking, master-metered and almost all studio apartments.

Sprenkle represented the seller, Los Angeles-based Sebren Development Inc. He describes the complex as a a classic six-story Art Deco property and a registered historic landmark. The Val D’Amour features 10 one-bedroom units with one bathroom, 50 studio units with full kitchens and bathrooms and 12 efficiencies with kitchenettes and bathrooms. The property was 97% leased at the time of the sale, with rents ranging from $480 to $1,395.

[IMGCAP(2)]The 70-unit property that sold was the Windsor Village Apartments at 14211 Sherman Way in Van Nuys, which traded for $7.25 million in a deal brokered by the Harris Group of Marcus & Millichap. Executive vice president Greg Harris, who heads the Harris Group, notes that, “In the middle of the transaction the credit crisis hit, creating a major obstacle–a lack of financing.”

The financing snag occurred after the Harris Group had identified what Harris calls “the perfect niche buyer for this asset,” a locally based private investor. Harris worked with mortgage brokers to keep the transaction afloat and help the buyer solidify financing at a 75% loan-to-cost ratio. He says that a key to closing the deal was “honest and open communication with the buyer and seller, Sherman Way 70 LP, in light of the market situation we faced.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt. APARTMENTS SPRING 2021Event

Join 1000+ of the industry's top owners, investors, developers, brokers & financiers at THE MULTIFAMILY EVENT OF THE YEAR!

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.